According to FINRA disciplinary records, Jerry D. McGlothlin was recently barred by FINRA for, among other issues, allegedly engaged in outside business activities without providing his employer (Lincoln Financial Securities Corporation) and for allegedly engaging in private securities transactions outside of the firm. This type of misconduct is generally known in the securities industry as “selling away”.
Upon information and belief, during Jerry McGlothlin’s registration with Lincoln Financial, he held various positions at the International Business Law Center, Inc. (a/k/a Internet Business Law Services) or the International Business Law Center Online Education, Inc. (IBLS Online Education, Inc.).
According to FINRA, from in or around July 2001 to in or around July 2007, International Business Law Center, Inc. raised $976,689 by selling over 1 million shares of common stock to 31 investors through a private placement offering. At least $238,312 of the $976,689 was raised by selling 238,200 common shares to 15 investors while Jerry McGlothlin was registered with Lincoln Financial. Jerry McGlothlin allegedly signed and issued the stock certificates for all 15 investors as the President of International Business Law Center, Inc.
In addition, from in or around December 2003 to in or around November 2007, International Business Law Center Online Education, Inc., Jerry McGlothlin allegedly raised $1,010,709 by selling 1.045 million shares of common stock to 43 investors. Jerry McGlothlin allegedly signed and issued all of the stock certificates to the 43 investors as President of International Business Law Center Online Education, Inc.
Between May 2003 and October 2012, McGlothlin was registered with FINRA as an Investment Company and Variable Contracts Limited Representative, and Direct Participating Programs Limited Representative, through his association with Lincoln Financial and its predecessor Jefferson Pilot Securities, Inc.
Generally speaking, brokerage firms like Lincoln Financial Securities Corporation have a duty to properly supervise their employees and registered representatives, and can be held liable for their failure to do so.
If you have suffered losses investing with Jerry D. McGlothlin in the International Business Law Center, Inc. (a/k/a Internet Business Law Services) or the International Business Law Center Online Education, Inc. (IBLS Online Education, Inc.), you may be able to recover your losses through FINRA arbitration. Please contact the firm today for a FREE, NO OBLIGATION CONSULTATION to discuss your investment loss recovery options.